Which of the following is true?
A)When a dynamic labor market is operating efficiently,mostly cyclical unemployment will be present.
B)Some unemployment will be present even when a dynamic labor market is operating efficiently.
C)When full employment is present,the rate of unemployment will be zero.
D)When full employment is present,there will not be any frictional unemployment.
E)When full employment is present,it will be impossible to sustain the current rate of output in the future.

Question

Quizplus · Accepted Answer

Even in an efficiently operating dynamic labor market, there will always be some amount of frictional and structural unemployment, as these types of unemployment are inherent to any economy. Therefore, some unemployment will still be present despite an efficiently operating labor market.

Which of the Following Is True